Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.real From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: real Mon, Jun 1 1992 Date: Mon, 1 Jun 92 05:21:13 EDT Message-ID: 06-01 0000 DECISIONLINE: Real Estate USA TODAY Update June 1, 1992 Source: USA TODAY:Gannett National Information Network AVERAGE FIXED-RATES RISE: After falling for four straight weeks, mortgage rates rose last week, the Federal Home Loan Mortgage Corp. reports. Fixed 30-year mortgage rates averaged 8.60% up from 8.53% a week earlier. One-year adjustable rates averaged 5.96%, versus 5.93% the week before. VIEWS ON HOMEOWNERSHIP REPORTED: More blacks and Hispanics cited homeownership as a major goal than whites, says a survey by Hart-Teeter Research for the Federal National Mortgage Association. For a home, 71% of blacks would take a second job, compared to 62% of Hispanics and 53% of whites. And 51% of blacks would be willing to put a young child in day care to own a home, compared to 38% of Hispanics and 32% of whites. (For more, see special Ownership package below.) HUD GRANTS QUESTIONED: Federal public housing grants aimed at eliminating drug problems have been awarded to projects with little or no drug-related crime, say government auditors. A report focusing on Department of Housing and Urban Development grants to projects in Southern states found that 15 of 26 grants were given to projects without significant drug-crime problems. SOUTHERN CALIF. PRICES DROP: Average home prices in the six-county region of Southern California dropped by approximately 1% in April, and the number of home sales fell by approximately 8%, reports TRW REDI Property Data. New homes sales declined by 18%, while average prices declined 5%. The average price of exiting homes dropped 1%, while existing home sales fell 6%. INDIANA AWARDS GRANTS: The Indiana Housing Finance Authority Thursday awarded 11 Housing Development Fund grants, totaling $2,5 million, to 15 Indiana communities. Among those awarded were Marion and Richmond, which both received $200,000 grants. The grants are used for construction, renovation and planning, while proceeds from any sales are placed in a loan fund to aid other buyers. APRIL'S FUND INDEX DOWN: The Federal Home Loan Bank of San Francisco said Friday that April's weighted average cost of funds index for Eleventh District savings institutions is 5.427%, down from 5.611% in March. Interest rates on many adjustable-rate mortgage loans are linked to the index, which reflects the interest rates institutions in Arizona, California, and Nevada pay on various sources of mortgage money. SOUTHFORK RANCH SOLD: Arizona businessman Rex Maughan bought the Southfork Ranch Saturday at an auction for $2.6 million. Maughan plans to reopen the ranch, seen on the television series "Dallas," as a tourist and convention facility. The property includes 41 acres, a mansion, and a business and entertainment complex. APPEALS COULD LOWER TAX REVENUE: Property-tax appeals by several Tennessee utilities could cost cities $20 million and counties up to $51 million in lost revenue, says Dr. Harry Green, executive director of the Tennessee Advisory Commission on Intergovernmental Relations. The Tennessee Public Service Commission assesses utilities near 100% of value while businesses are assessed as low as 30% of value, utilities say. L.A. GROUNDBREAKING PLANNED: Groundbreaking will be held Thursday for Wisconsin Apartments, 23-unit affordable housing complex near the L.A. Memorial Coliseum. The complex is funded by a $790,000 loan from the Community Redevelopment Agency. At the groundbreaking will be former Los Angeles Raider star Shelby Jordan, executive director of Community Resource Talent Development Inc. SPECIAL PACKAGE ON OWNERSHIP: VALUE OF OWNERSHIP VARIES: Homeownership was one of the most important goals of 60% of those in low income brackets, compared to only 31% in the highest, says a survey for the Federal National Mortgage Association. The survey also showed Americans by a three-to-one margin would rather own a home than retire 10 years early. Americans by a two-to-one margin said a home is worth taking a second job. HOMES SEEN AS GOOD INVESTMENT: Homeownership was cited as a good investment by 78% of those surveyed, compared to only 2% who considered it a poor one. Americans by a seven-to-one margin cited the lack of affordable housing as a serious problem. The inability to make a downpayment and pay closing costs were said to be the primary impediments to owning a home. TERMS CONFUSE MANY: Of those who currently rent their home, 60% said they were uncomfortable with the language of real estate transactions. Among the troublesome terms were escrows, title insurance, and loan points. Copies of the Fannie Mae National Housing Survey report are available from Fannie Mae's Office of Public Information, 3900 Wisconsin Ave. N.W., Washington, D.C. 20016. (End of package.) Real Estate Editor: Christopher Goldthwaite. (1-919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM